Exclusive: BharatPe Raises INR 125 Cr Debt From Neo Group, Trifecta

Fintech unicorn BharatPe has raised INR 125 Cr (around $15 Mn) in a debt funding round co-led by Neo Group and Trifecta Capital.

BharatPe issued 5,000 Series I2 and 2,500 Series D3 non-convertible debentures at INR 1 Lakh each, along with 500 Series J1 NCDs at INR 10 Lakh each, to raise the sum, as per its regulatory filings with the Registrar of Companies (RoC).

Neo Group’s insurance arm Neo Markets Services and Trifecta Capital injected INR 50 Cr each into the fintech giant, while Alteria Capital infused INR 25 Cr.

In the filing, BharatPe said it will use the fresh funds to expand its business and support its growth and other general corporate purposes.

The startup declined to comment on Inc42’s queries on the development.

The latest funding is part of a larger, ongoing INR 400 Cr round. As part of this, BharatPe raised INR 150 Cr from Neo Wealth and Asset Management and Trifecta Capital in two tranches between November 2024 and January 2025.

BharatPe’s Road To Breakeven

Founded in 2018, BharatPe initially provided payment solutions and financial services to offline merchants in India. However, it later diversified into the B2C segment with offerings like co-branded credit cards and UPI-based credit lines.

The startup owns an NBFC licence (Trillion Loans Fintech) and a 49% stake in a small finance bank (Unity Small Finance Bank). In April, it also received an in-principle approval from the RBI to operate as an online payment aggregator (PA).

This allows the startup to offer a full stack of financial services spanning digital payments, lending and investment, catering to both merchants and consumers. 

BharatPe plans to launch its online PA platform under the brand BharatPe X. In October last year, it also rolled out a separate wealthtech app ‘Invest BharatPe’, which offers P2P lending, gold loans, fixed deposits and more. It already offers UPI, bill payments and credit card payment services on its platform. BharatPe also forayed into the food delivery segment with ONDC last September. 

With BharatPe’s super app ambitions taking shape, the fintech unicorn managed to achieve breakeven on an adjusted EBITDA level in the nine months ended December 31, 2024 (9M FY25), bouncing back from a loss of INR 492 Cr in FY24.

BharatPe clocked a revenue of INR 1,787.7 Cr in 9M FY25 versus INR 1,534.4 Cr in FY24.

IPO On The Cards

The latest development comes at a time when BharatPe has set its sights on an IPO by FY27. In January, BharatPe CEO Nalin Negi said that the company was eyeing full-year EBITDA profitability in FY25, with plans to float an IPO in the next 18-24 months.

Amid heightened investor interest in new-age tech companies, several fintech startups are getting IPO ready. Last month, PhonePe and Razorpay converted themselves into public companies, a crucial step towards their IPOs. 

While PhonePe shifted its base back to India last year, Razorpay is also in the process of redomiciling to India. Prosus-owned PayU, Groww and KreditBee are also at different stages of their IPO preparations.

Last year, IPO markets remained sluggish across the globe but India’s boomed, with 13 new-age tech companies going public and raising a combined INR 29,000+ Cr through their IPOs.

The startup IPO momentum is expected to remain strong this year also. Electric two-wheeler maker Ather Energy made its stock market debut today, with its shares listing at INR 326.05 apiece on the BSE, a 1.57% premium against the IPO issue price of INR 321. Last month, consumer services unicorn Urban Company also filed its draft red herring prospectus (DRHP) for INR 1,900 Cr IPO.

Overall, more than 20 startups, including Zepto, boAt, Physics Wallah, BlueStone, Aye Finance, Zappfresh, Smartworks, DevX, IndiQube, among others, are gearing up for a public listing in 2025.

[Edited By Vinaykumar Rai]